Meta’s new deal with Nvidia buys up millions of AI chips | The Verge
Summary
Meta has signed a multiyear deal with Nvidia to acquire millions of AI chips, including Grace and Vera CPUs, to enhance its data center capabilities.
Why It Matters
This partnership highlights the growing demand for advanced AI infrastructure as companies like Meta seek to bolster their AI capabilities. The deal signifies a shift towards dedicated AI hardware, which could impact the competitive landscape in AI chip manufacturing and deployment.
Key Takeaways
- Meta's deal with Nvidia marks a significant expansion in AI chip usage.
- The deployment of Grace CPUs is a first for Nvidia, emphasizing performance improvements.
- Meta continues to face challenges with its in-house chip development amid rising competition.
AINewsTechMeta’s new deal with Nvidia buys up millions of AI chipsNvidia’s starting to sell AI CPUs for use by themselves for the first time.Nvidia’s starting to sell AI CPUs for use by themselves for the first time.by Stevie BonifieldFeb 18, 2026, 12:27 AM UTCLinkShareGiftIllustration by Nick Barclay / The VergeStevie Bonifield is a news writer covering all things consumer tech. Stevie started out at Laptop Mag writing news and reviews on hardware, gaming, and AI.Meta has struck a multiyear deal to expand its data centers with millions of Nvidia’s Grace and Vera CPUs and Blackwell and Rubin GPUs. While Meta has long been using Nvidia’s hardware for its AI products, this deal “represents the first large-scale Nvidia Grace-only deployment,” which Nvidia says will deliver “significant performance-per-watt improvements in [Meta’s] data centers.” The deal also includes plans to add Nvidia’s next-generation Vera CPUs to Meta’s data centers in 2027.Meta is also working on its own in-house chips for running AI models, but according to the Financial Times, it has run into “technical challenges and rollout delays” with its chip strategy. Nvidia is also dealing with concerns about depreciation and chip-back loans used to finance AI buildouts, as well as the pressure of competition. CNBC notes that Nvidia’s stock dropped four percent after a November report about Meta considering using Google’s Tensor chips for AI, and late last year, AMD announced chip arrangements with both OpenA...
